G&T Factor Adjustment to Take Effect September 1, 2022
You will see a change on your September bill (dated September 1, 2022 and after) for the Generation & Transmission (G&T) factor. It will change from $0.081 to $0.092 per kilowatt hour (kWh). The G&T pays for the wholesale power cost charges and includes the cost of fuel to generate the electricity and the cost to deliver that electricity through the ERCOT grid. The increased prices in natural gas and higher usage have necessitated this change. Historically, FELPS has kept any of these changes to months where usage is lower, impacting the overall dollar amount less substantially. We were able to continue that practice again. We are hopeful that this will be a short term increase and wholesale power costs will improve. To be clear, this is not a rate increase. The money collected through the G&T factor is paid out and is not part of the rates that we operate from.
The average cost per kWh for residential customers in August was 11.18 cents. Using the same usage, the average cost per kWh for residential customers in September would be 12.28 cents. The new average cost is comparable with our neighboring utilities.
FELPS is a not-for-profit entity and works to mitigate the effects of the rising natural gas prices, by using financial hedging and other measures, but the continued cost of natural gas is now at a point it is impacting the customers’ bills.
Customer Service is available to answer any questions you may have concerning this change. They can be reached at (830) 216-7000 sub-option 1, Monday – Friday, 8:00 a.m. to 4:30 p.m.